Encumbrance Reporting and Lapsing of Appropriations (APS 018)

Overview

Applicable to

State agencies and institutions of higher education.

Policy

State agencies and institutions of higher education must report binding encumbrances and payables for appropriated funds in USAS for the current appropriation year (AY) within 30 days following each of the first three quarters of the fiscal year. Certifications are required when binding encumbrances and payables are reported.

Annually, binding encumbrances and payables must be reported to the Texas Comptroller of Public Accounts (Comptroller’s office), the State Auditor’s Office (SAO) and the Legislative Budget Board (LBB) by Oct. 30 for all appropriated funds for all open appropriation years. (The recommended due date for GR consolidated agencies is Sept. 30.)

Within CAPPS Financials, encumbrance and payable entries can only be posted to the upcoming AY once the USAS profile rollover has taken place. The USAS profile rollover typically takes place the third weekend in June.

The Comptroller’s office is statutorily required to lapse all unencumbered non-construction appropriation balances for all prior appropriation years on Nov. 1 of each fiscal year. To facilitate this, an automatic lapse program will run in USAS as early as the Nov. 1 nightly cycle.

Legal Citation

Texas Constitution Article III, Section 49-g and Article VIII, Section 6; Government Code, Sections 403.021, 403.071.

CAPPS Instructions

Instructions for the Centralized Accounting and Payroll/Personnel System (CAPPS) are included under CAPPS Entries. Please see the box to the right for the outline of this APS.